$1.1 Billion Plan to Tackle Gender Pay Gap Through Superannuation and Paid Parental Leave

Government’s new plan to tackle the gender pay gap includes adding superannuation to parental leave aiming to benefit 180,000 families.

Government Introduces New Plan to Address Gender Pay Gap

The federal government is introducing a new plan to tackle the gender pay gap by adding superannuation payments to the existing paid parental leave (PPL) scheme. Starting next year, aims to benefit around 180,000 families and costs $1.1 billion initially with ongoing annual funding of $623.1 million. Minister for Women Katy Gallagher and Treasurer Jim Chalmers emphasize that this initiative is crucial for improving retirement outcomes for women by acknowledging the undervaluation of caregiving roles, according to the report of abc net.

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(photo: InHerSight)

Targets Gender Disparities in Caregiving Roles to Close Gender Pay Gap

Women primarily bear the burden of caregiving responsibilities contributing to the gender pay gap. Statistics show that despite some increase in men taking parental leave women still make up the majority of caregivers. The government aims to rectify this disparity and provide fair compensation for caregiving work.

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Furthermore, the government’s initiative extends beyond parental leave to address broader gender disparities in unpaid care work. Investing in aged care workforce retention and recruitment particularly focusing on the predominantly female workforce and government aims to alleviate the disproportionate burden placed on women in caregiving roles. These measures reflect a commitment to gender equality and signify progress toward a fairer and more inclusive society.